Anchorage Digital Spearheads Crypto Custody Exchange Network to Enhance Trading, Liquidity

Anchorage and crypto companies including Binance.US have created an exchange network for institutional investors.

AccessTimeIconJun 9, 2022 at 9:02 a.m. UTC
Updated Jun 9, 2022 at 3:29 p.m. UTC

Michael Bellusci is CoinDesk's crypto payments reporter.

Institutional crypto custody firm Anchorage Digital along with other global crypto companies has formed a custody exchange network in a bid to improve the crypto marketplaces for investors.

The custody exchange network seeks to promote a fairer market structure, with no pre-funding needed and with safe participation by maintaining custody with Anchorage.

Exchanges, liquidity providers and custodians wanted to build a safe and segregated institutional custody vault, according to Diogo Monica, co-founder and president of Anchorage. There’s no conflict of interest between the institution that holds custody over a customer's assets and the institution that executes the exchange, Monica told CoinDesk.

“We actually genuinely believe it’s a better market structure going forward and answers a lot of the questions that regulators have had,” Monica said.

Crypto exchange Binance.US is part of the new network, and Anchorage has commitments from CoinList, Blockchain.com, Strix Leviathan, and Wintermute, according to a statement.

“As the American digital asset industry continues to mature, there is growing demand from institutions for custody, liquidity and enhanced market access,” Binance.US CEO Brian Shroder said in the statement. “By combining the advanced security of Anchorage with the best-in-class exchange technology of Binance.US, this integration eliminates multiple pain points to institutional trading, and marks a major milestone in the evolution of digital asset infrastructure.”

In March, Anchorage joined the Alternative Investment Management Association (AIMA), a policy group for the fund management industry that has more than 2,000 members, including most of the world’s hedge funds.

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Michael Bellusci is CoinDesk's crypto payments reporter.

CoinDesk - Unknown

Michael Bellusci is CoinDesk's crypto payments reporter.